Startup businesses are finding it increasingly difficult to get debt finance, particularly bank loans and overdrafts. One source of credit which is frequently overlooked is trade credit i.e. the amount of supplies a business can buy on credit without having to pay up front.

A key influence of trade credit is the business's credit rating which suppliers get from the credit agencies that use many sources of information to give a business a credit score. The business's accounts form a significant part of the information the credit agencies use.

If the business is a limited company the agencies will reference the accounts filed at Companies House. So there are things companies must do to get a good credit score. Firstly they should consider filing full - not abbreviated - accounts. Abbreviated accounts give significantly less information – nothing on the P & L account and only summary balance sheet information. So if the accounts tell a good story filing a full set of accounts is essential.

Next the credit agencies do not like late information. Some accountants seek to get accounts to Companies House by the filing deadline, not allowing for Companies House processing time. The credit agencies often regard these accounts as late and downgrade the credit score. So filing accounts as early as possible, particularly if the figures are good, is always advisable.

Finally having accounts audited can bring added credibility to the figures. It may cost more than just having accounts prepared but it can give additional assurance to stakeholders, particularly finance providers, suppliers and customers.